Derby has been picked as the home of new government rail operator Great British Railways.
The city – which sits at the heart of the UK rail network and has a long tradition of rail engineering – was announced as the operating base of the new public sector body today. Derby had been vying for the spot alongside Birmingham, Crewe, Doncaster, Newcastle and York, which also have rich rail engineering heritages.
The Government has said it wants Great British Railways to deliver the most ambitious changes to the rail system in a generation, and announced in 2021 that the headquarters would be outside the capital.
After decades of disjointed fragmentation, it will absorb state-owned infrastructure management company Network Rail and issue contracts to private companies to run trains.
The city council says that Derby has had one of the lowest concentrations of civil service jobs in the country, and the decision will not only bring key jobs into the city but a strategic government operation.
Rail services have been crippled in recent months and years by underinvestment, rising ticket prices, strike action from disgruntled workers and operators failing to work together to offer passengers good deals.
Derby’s bid had the backing of councils across the East Midlands including Derby, Derbyshire, Nottinghamshire, Nottingham, Leicester and Leicestershire, representing over three million people from across the region.
East Midlands Chamber chief executive Scott Knowles said: “This is fantastic news for Derby, cementing the city’s position as a national centre of the rail industry while delivering a huge boost to the local economy.
“Derby and the rail industry go hand-in-hand, with a 200-year legacy as the centre of UK rail remaining highly relevant today as the home of the country’s largest train factory, alongside the many small businesses in the supply chain that have established one of Europe’s largest rail clusters.
“Bringing the Great British Railways headquarters to Derby builds on this expertise, further developing the skillsets from its industrial heritage and shines a spotlight on the city’s economic strengths.
“When combined with other exciting regional projects such as the East Midlands Freeport, this will help to attract new investment from companies that may wish to be located near a national centre of excellence and create jobs for these skills to thrive – benefits that will be felt across the wider region and all relevant to the Government’s levelling up agenda.”
Maria Machancoses, chief executive of Midlands Connect – the transport partner of the Midlands Engine – said: “It is an excellent choice. Derby is right in the heart of the country and is home to the greatest cluster of rail sector businesses in the UK and indeed Europe making it a perfect location for the home of GBR.
“Investing in Derby is therefore a clear vote of confidence for the rail industry bringing a host of job opportunities to the region and we look forward to working together with GBR on our plans, including the Midlands Rail Hub.”
Transport Secretary Mark Harper said: “Among an exceptional list of shortlisted applicants, Derby scored highest in the expression of interest stage of the competition, which analysed its suitability against six published criteria: levelling up, connectivity, opportunities for GBR, value for money, heritage and public support.
“It also scored highest in the six-week public vote, attracting 45,600 votes, more than 5,000 ahead of the second placed location in a total vote of 205,000.
“Derby will become the heart of Great Britain’s rail industry, bringing together track and train, as well as revenue and cost.
“This means we will finally treat the railway as the whole system it should be rather than a web of disparate interests that it’s become.”